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Welfare Reform Bill


Welfare Reform Bill
Part 1 — Employment and support allowance

13

 

Social Security Act 1998 (decisions under certain enactments to be

made by the Secretary of State);

(c)   

the function under section 9(1) of that Act (revision of decisions), so far

as relating to decisions that relate to any matter arising under such

regulations;

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(d)   

the function under section 10(1) of that Act (superseding of decisions),

so far as relating to decisions of the Secretary of State that relate to any

matter arising under such regulations;

(e)   

any function under Chapter 2 of Part 1 of that Act (social security

decisions), except section 25(2) and (3) (decisions involving issues that

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arise on appeal in other cases), which relates to the exercise of any of the

functions mentioned in paragraphs (a) to (d).

(3)   

Regulations under subsection (2) may provide that a function to which that

subsection applies may be exercised—

(a)   

either wholly or to such extent as the regulations may provide,

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(b)   

either generally or in such cases or areas as the regulations may

provide, and

(c)   

either unconditionally or subject to the fulfilment of such conditions as

the regulations may provide.

(4)   

An authorisation given by virtue of subsection (1), or by virtue of regulations

20

under subsection (2), may authorise the exercise of the function concerned—

(a)   

either wholly or to such extent as may be specified in the authorisation,

(b)   

either generally or in such cases or areas as may be so specified, and

(c)   

either unconditionally or subject to the fulfilment of such conditions as

may be so specified.

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(5)   

In the case of an authorisation given by virtue of regulations under subsection

(2), subsection (4) is subject to the provisions of the regulations.

(6)   

An authorisation given by virtue of subsection (1), or by virtue of regulations

under subsection (2)—

(a)   

may specify its duration,

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(b)   

may be revoked at any time by the Secretary of State, and

(c)   

shall not prevent the Secretary of State or any other person from

exercising the function to which the authorisation relates.

(7)   

Where a person is authorised to exercise any function by virtue of subsection

(1), or by virtue of regulations under subsection (2), anything done or omitted

35

to be done by or in relation to him (or an employee of his) in, or in connection

with, the exercise or purported exercise of the function shall be treated for all

purposes as done or omitted to be done by or in relation to the Secretary of

State.

(8)   

Subsection (7) shall not apply—

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(a)   

for the purposes of so much of any contract made between the

authorised person and the Secretary of State as relates to the exercise of

the function, or

(b)   

for the purposes of any criminal proceedings brought in respect of

anything done or omitted to be done by the authorised person (or an

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employee of his).

(9)   

Where—

 
 

Welfare Reform Bill
Part 1 — Employment and support allowance

14

 

(a)   

a person is authorised to exercise any function by virtue of subsection

(1), or by virtue of regulations under subsection (2), and

(b)   

the authorisation is revoked at a time when a relevant contract is

subsisting,

   

the authorised person shall be entitled to treat the relevant contract as

5

repudiated by the Secretary of State (and not as frustrated by reason of the

revocation).

(10)   

In subsection (9), the reference to a relevant contract is to so much of any

contract made between the authorised person and the Secretary of State as

relates to the exercise of the function.

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Miscellaneous

16      

Income and capital: general

(1)   

In relation to a claim for an employment and support allowance, the income

and capital of a person shall be calculated or estimated in such manner as may

be prescribed.

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(2)   

A person’s income in respect of a week shall be calculated in accordance with

prescribed rules, which may provide for the calculation to be made by

reference to an average over a period (which need not include the week

concerned).

(3)   

Circumstances may be prescribed in which—

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(a)   

a person is to be treated as possessing capital or income which he does

not possess;

(b)   

capital or income which a person does possess is to be disregarded;

(c)   

income is to be treated as capital;

(d)   

capital is to be treated as income.

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(4)   

Regulations may provide that a person’s capital shall be deemed for the

purposes of this Part to yield him an income at a prescribed rate.

17      

Disqualification

(1)   

Regulations may provide for a person to be disqualified for receiving an

employment and support allowance, or treated for such purposes as the

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regulations may provide as not having limited capability for work, if—

(a)   

he has become someone who has limited capability for work through

his own misconduct,

(b)   

he remains someone who has limited capability for work through his

failure without good cause to follow medical advice, or

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(c)   

he fails without good cause to observe any prescribed rules of

behaviour.

(2)   

Regulations under subsection (1) shall provide for any such disqualification, or

treatment, to be for such period not exceeding 6 weeks as may be determined

in accordance with Chapter 2 of Part 1 of the Social Security Act 1998 (c. 14).

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(3)   

Regulations may prescribe for the purposes of subsection (1)—

(a)   

matters which are, or are not, to be taken into account in determining

whether a person has good cause for any act or omission;

 
 

Welfare Reform Bill
Part 1 — Employment and support allowance

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(b)   

circumstances in which a person is, or is not, to be regarded as having

good cause for any act or omission.

(4)   

Except where regulations otherwise provide, a person shall be disqualified for

receiving a contributory allowance for any period during which he is—

(a)   

absent from Great Britain, or

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(b)   

undergoing imprisonment or detention in legal custody.

18      

Pilot schemes

(1)   

Any regulations to which this subsection applies may be made so as to have

effect for a specified period not exceeding 24 months.

(2)   

Subject to subsection (3), subsection (1) applies to—

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(a)   

regulations which are made under any provision of this Part, other than

sections 3, 8 and 9;

(b)   

regulations which are made under the Administration Act, so far as

they relate to an employment and support allowance.

(3)   

Subsection (1) only applies to regulations if they are made with a view to

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ascertaining whether their provisions will or will be likely to—

(a)   

encourage persons to obtain or remain in work, or

(b)   

make it more likely that persons will obtain or remain in work or be

able to do so.

(4)   

Regulations which, by virtue of subsection (1), are to have effect for a limited

20

period are referred to in this section as a “pilot scheme”.

(5)   

A pilot scheme may provide that its provisions are to apply only in relation

to—

(a)   

one or more specified areas;

(b)   

one or more specified classes of person;

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(c)   

persons selected—

(i)   

by reference to prescribed criteria, or

(ii)   

on a sampling basis.

(6)   

A pilot scheme may make consequential or transitional provision with respect

to the cessation of the scheme on the expiry of the specified period.

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(7)   

A pilot scheme may be replaced by a further pilot scheme making the same or

similar provision.

19      

Relationship with statutory payments

(1)   

A person is not entitled to an employment and support allowance in respect of

a day if, for the purposes of statutory sick pay, that day—

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(a)   

is a day of incapacity for work in relation to a contract of service, and

(b)   

falls within a period of entitlement (whether or not it is a qualifying

day).

(2)   

Except as regulations may provide, a woman who is entitled to statutory

maternity pay is not entitled to a contributory allowance in respect of a day that

40

falls within the maternity pay period.

(3)   

Regulations may provide that—

 
 

Welfare Reform Bill
Part 1 — Employment and support allowance

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(a)   

an amount equal to a woman’s statutory maternity pay for a period

shall be deducted from a contributory allowance in respect of the same

period,

(b)   

a woman shall only be entitled to a contributory allowance if there is a

balance after the deduction, and

5

(c)   

if there is such a balance, a woman shall be entitled to a contributory

allowance at a weekly rate equal to it.

(4)   

Except as regulations may provide, a person who is entitled to statutory

adoption pay is not entitled to a contributory allowance in respect of a day that

falls within the adoption pay period.

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(5)   

Regulations may provide that—

(a)   

an amount equal to a person’s statutory adoption pay for a period shall

be deducted from a contributory allowance in respect of the same

period,

(b)   

a person shall only be entitled to a contributory allowance if there is a

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balance after the deduction, and

(c)   

if there is such a balance, a person shall be entitled to a contributory

allowance at a weekly rate equal to it.

(6)   

Except as regulations may provide, a person who is entitled to additional

statutory paternity pay is not entitled to a contributory allowance in respect of

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a day that falls within the additional paternity pay period.

(7)   

Regulations may provide that—

(a)   

an amount equal to a person’s additional statutory paternity pay for a

period shall be deducted from a contributory allowance in respect of

the same period,

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(b)   

a person shall only be entitled to a contributory allowance if there is a

balance after the deduction, and

(c)   

if there is such a balance, a person shall be entitled to a contributory

allowance at a weekly rate equal to it.

(8)   

In this section—

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“additional paternity pay period” has the meaning given in section

171ZEE(2) of the Contributions and Benefits Act;

“adoption pay period” has the meaning given in section 171ZN(2) of that

Act;

“maternity pay period” has the meaning given in section 165(1) of that

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Act.

20      

Deemed entitlement for other purposes

Regulations may provide for a person who would be entitled to an

employment and support allowance but for the operation of any provision of,

or made under, this Part, the Administration Act or Chapter 2 of Part 1 of the

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Social Security Act 1998 (c. 14) (social security decisions and appeals) to be

treated as if entitled to the allowance for the purposes of any rights or

obligations (whether his own or another’s) which depend on his entitlement,

other than the right to payment of it.

 
 

 
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Revised 16 November 2006